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The Commercial Loan Agreement serves as the primary documentation for business financing transactions in Denmark, establishing the legal relationship between commercial lenders and business borrowers. This document is essential when a business seeks substantial financing for operations, expansion, or specific projects. It must comply with Danish financial regulations, including the Financial Business Act, Interest Act, and relevant EU regulations. The agreement covers crucial elements such as loan disbursement, interest calculation, security arrangements, representations and warranties, covenants, and events of default. It's particularly important for ensuring legal certainty in commercial lending transactions while adhering to Danish market practices and regulatory requirements. The document is typically customized based on the loan amount, borrower's business type, security package, and specific commercial terms agreed between the parties.

1. Parties: Identification of the lender and borrower with full legal names, registration numbers, and addresses

2. Background: Context of the loan agreement, including purpose and any relevant business relationship between the parties

3. Definitions: Definitions of key terms used throughout the agreement

4. The Loan: Core terms including principal amount, purpose, and drawdown conditions

5. Interest: Interest rate, calculation method, payment dates, and default interest provisions

6. Repayment: Repayment schedule, prepayment terms, and payment mechanics

7. Conditions Precedent: Conditions that must be satisfied before the loan is made available

8. Representations and Warranties: Statements of fact and assurances given by the borrower

9. Covenants: Ongoing obligations of the borrower during the loan term

10. Events of Default: Circumstances that allow the lender to demand immediate repayment

11. Security: Overview of security arrangements for the loan

12. Costs and Expenses: Allocation of costs related to the loan and its administration

13. Changes to the Parties: Rules for assignment and transfer of rights and obligations

14. Notices: How formal communications between parties should be made

15. Calculations and Certificates: How financial calculations will be made and evidenced

16. General Provisions: Standard boilerplate clauses including severability, entire agreement, etc.

17. Governing Law and Jurisdiction: Confirmation of Danish law application and jurisdiction for disputes